Join Fintech Robos for two days of interactive webinars to navigate the tough terrain in which global and regional Defined Benefit (DB) pension schemes balance increasing short-term financial pressures with long-term survivability.
This conference will tackle the following questions:
- Can Public Defined Benefit Pension Systems be Saved through Parametric Reforms?
- What do the actuaries say…
- Can and should governments in the region finance the current deficits in Pension Funds?
- What do the economists think…
- What Does it Take to Re-model Regional Pension Systems to a Multi-Pillar Structure?
- What are the Financial Industry’s views…
- How Should Pension Funds Allocate their Assets?
- What are the CIOs’ answers…
- In their fifth decade now, pension systems of the MENA countries are still exclusively reliant on government funded pay-as-you-go Defined Benefit schemes. These programs tend to be quite generous, but are facing increasingly huge funding deficits, making their long-term viability a mounting concern.
- Beyond this, many companies in the region provide employee savings schemes, however these are not formally regulated and do not tend to be professionally managed. Expat workers are paid the mandatory End-of-Service benefits. Nonetheless, such schemes are inadequate as a pension arrangement, and represent unfunded liabilities on the balance sheets of employers. Dubai’s DIFC is the only jurisdiction that has lately introduced a mandatory workplace saving scheme.
- Voluntary pension savings is possible but is not formally regulated or incentivised. The range of tailored products available for such savings is minimal and awareness of the importance of long-term savings is limited, albeit gradually growing.
- From a global perspective, the pension industry wants more people to have better access to quality pensions products. They also want to increase the supply of institutional assets that can support long-term savings
- By 2050, the global population segment aged 65 and older will have doubled from 10% to 20%. Nearly 1.3 billion (80%) of these elderly people will live in low-income countries. Yet, two thirds of this population are today outside the coverage of formal retirement systems.
- Pension systems contribute to providing income in old age, disability and premature death of family wage-earners. In addition, pension systems contribute to promote long-term savings, which in turn boosts economic growth and financial systems.
Can Public Defined Benefit Pension Systems be Saved through Parametric Reforms?
In the face of quantitative easing and increased liabilities, How Should Pension Funds Allocate their Assets?